Equitable Bank agreed on 29 October 2026 to sell Bennington Financial Corp., its commercial equipment leasing subsidiary, to Desjardins Group at about an 8% discount to the unit's roughly C$1.1bn of lease receivables.
Why Desjardins Group is buying Bennington Financial Corp. (from Equitable Bank)
EQB said the sale lets it concentrate capital and resources on its core growth priorities. Desjardins said the business complements its existing business financing offering. A Jefferies analyst said the disposal removes one of the main drivers of EQB's elevated credit costs.
Deal terms and financing
Desjardins will acquire 100% of Bennington's shares. The total price was not disclosed. EQB expects a net after-tax charge in the fourth quarter of its 2026 financial year, treated as an adjusting item.
Regulatory approvals and timing
Closing is subject to customary conditions and is expected in the first half of 2027.
Market context
Equitable bought Bennington, based in Oakville, Ontario, in a deal that closed at the start of 2019. The unit operates the Equirex and Bodkin leasing brands and sources business through independent brokers.
